Which of the following statements are correct? (This is an "all-or-nothing" question: if you do not mark all the correct answers, or mark any incorrect answers, you will get zero!) Select one or more: O a. Government spending on goods and services does not add to Gross Domestic Product. O b. In most countries, consumers' expenditure is the biggest item in Gross Domestic Product. O c. Gross Domestic Product measures the total final spending in the economy, or equivalently the total of incomes generated. O d. Gross domestic product is a stock, not a flow. O e. The value of unsold goods that have been produced over the year is not included in GDP.

Which of the following statements are correct? (This is an "all-or-nothing" question: if you do not mark all the correct answers, or mark any incorrect answers, you will get zero!) Select one or more: O a. Government spending on goods and services does not add to Gross Domestic Product. O b. In most countries, consumers' expenditure is the biggest item in Gross Domestic Product. O c. Gross Domestic Product measures the total final spending in the economy, or equivalently the total of incomes generated. O d. Gross domestic product is a stock, not a flow. O e. The value of unsold goods that have been produced over the year is not included in GDP.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter17: Production And Growth

Section: Chapter Questions

Problem 5CQQ

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Which of the following types of spending should be not included in Government Purchases, one of the four expenditure components used to measure U.S. Gross Domestic Product? Select one: O a. The federal government purchases an airplane for the U.S. Air Force. O b. The state of Louisiana pays unemployment insurance benefits to qualified unemployed persons. O c. The salaries paid to members of the U.S. Congress. Od. The state of Louisiana pays a construction company to build new roads.
Under the expenditure categories to measure GDP, why are net exports (exports minus imports) included instead of just exports? Select one: a. GDP is a measure of all final goods and services purchased by American citizens around the world. O b. The imports include goods that were produced with intermediate goods made by American firms. O c. The values of C, I and G include spending on all final goods and services, including imports, and these imports must be subtracted out. O d. The government wants to ignore income that Americans spend on foreign-made products.
The components of aggregate expenditure are consumption expenditure O a. investment, government expenditure on goods and services, and net income. O b. interest, government expenditure on goods and services, and net exports. O c. investment, government expenditure on goods and services, and net exports. O d. interest, gross spending, and net spending. O e. investment, government expenditure on goods and services, and net taxes.
Item Consumption expenditure. Investment Government expenditure on goods and services Exports of goods and services Imports of goods and services 8. Based on the data in the table, what does GDP equal? O $11,183 billion O $11.023 billion O $11.103 billion O $12.393 billion Billions of Dollars 8180 1520 1403 1290 1370
Item Personal consumption expenditure Government expenditure on goods and services Net taxes Gross private domestic investment Imports of goods and services Exports of goods and services Millions of dollars 80 30 35 20 10 20 Use the information in the table above to calculate the value of net exports. O $10 million $30 million $0 -$10 million
1. dix Suppose the country produces only two goods: beef and wheat. The table below summarizes the quantities of each good produced and the corresponding prices in every year since 2005: Beef Wheat Nomin al PQP Q GDP 2005 $4 12 $1. 22 0 6 0 11 $1. 23 4 0 15 $1. 24 5 9 5 2007 2006 $4. 5 $4. 6 LO 5 LO Real GDP (in 2006 price s) GDP Deflat or Inflation Rate (using GDP Deflator) CP I Inflation Rate (using CPI)
(Table) According to the table, when using the expenditure approach, GDP is Category Proprietors' income Capital consumption allowance Federal government purchases of goods and services Compensation of employees Personal consumption expenditures Billions $300 440 200 S00 950 90 60 Corporate profts Exports Gross private domestic investment Rental income State and local government purchases of goods and services Net interest Federal government deficit Imports 500 30 150 100 250 90 O $1,770 billion. O $2,020 billion. O $1,320 billion. O $1,330 billion. The government decides to give tax-exempt status to a new organization whose mission is to award college scholarships to members of the armed forces. In doing so, the government is acting in its role to promote economic growth by O ensuring a stable legal system. O enhancing physical and human capital. O ensuring a stable and secure financial system. promoting free and competitive markets.
explain it corrects. not copy paste
1
What is the GDP for a country where consumption spending is $400 billion, gross investment is $125 billion, government spending is $135 billion, exports are $200 billion, and imports are $175 billion? O $685 billion O $415 billion O $635 billion O $1 035 billion 32
Between 2017 and 2018, the exports of the X economy decreased by $5 billion and its imports increased by $5 billion. All else equal? By how much has the GDP changed between the two years? Select one: a. The change in net exports will decrease GDP by $5 billion. O b. The change in net exports will decrease GDP by $10 billion. C. d. The change in net exports will increase GDP by $5 billion. O e. The decrease in exports is offset by the decrease in imports, so there is no change in net exports and no effect on GDP.
Which of the following statements are true? You may need to check public data. Select one or more: O a. Disposable income includes transfer payments. b. Government spending as a component of GDP includes transfer payments. O c. In 2013 export spending in China exceeded import spending by 2.4% of GDP O d. In 2013 total consumer spending in the USA exceeded total consumer spending in the Eurozone